Bill Summary – FastDemocracy

****
68th Legislature 2023                                                                                              HB 47.1
                                                  HOUSE BILL NO. 47
                                           INTRODUCED BY J. DOOLING
                          BY REQUEST OF THE DEPARTMENT OF ADMINISTRATION
  4
  A BILL FOR AN ACT ENTITLED: “AN ACT GENERALLY REVISING THE MONTANA INFORMATION
  TECHNOLOGY ACT; REVISING TERMINOLOGY; REVISING RULEMAKING AUTHORITY; PROVIDING THE
  DEPARTMENT OF ADMINISTRATION SOLE AUTHORITY TO TERMINATE AN AGENCY'S INFORMATION
  TECHNOLOGY RESOURCE AND REQUIRING THE USE OF AN ALTERNATIVE INFORMATION
  TECHNOLOGY RESOURCE; AND AMENDING SECTIONS 2-4-302, 2-6-1102, 2-17-505, 2-17-506, 2-17-512,
  2-17-513, 2-17-514, 2-17-515, 2-17-516, 2-17-518, 2-17-521, 2-17-523, 2-17-524, 2-17-526, 2-17-532, 2-17-
  533, 2-17-534, 2-17-546, 2-17-551, 2-17-552, 2-17-1101, 2-17-1102, 2-17-1103, 2-18-101, 7-22-2151, 10-3-
  106, 61-3-346, 61-3-347, 61-11-105, 75-10-805, AND 87-1-272, MCA.”
 13
  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
 15
          Section 1. Section 2-4-302, MCA, is amended to read:
          "2-4-302.   Notice, hearing, and submission of views. (1) (a) Prior to the adoption, amendment, or
  repeal of any rule, the agency shall give written notice of its proposed action. The proposal notice must include
  a statement of either the terms or substance of the intended action or a description of the subjects and issues
  involved, the reasonable necessity for the proposed action, and the time when, place where, and manner in
  which interested persons may present their views on the proposed action. The reasonable necessity must be
  written in plain, easily understood language.
          (b)      The agency shall state in the proposal notice the date on which and the manner in which
  contact was made with the primary sponsor as required in subsection (2)(e). If the notification to the primary
  sponsor was given by mail, the date stated in the proposal notice must be the date on which the notification
  was mailed by the agency. If the proposal notice fails to state the date on which and the manner in which the
  primary sponsor was contacted, the filing of the proposal notice under subsection (2)(a) is ineffective for the
  purposes of this part and for the purposes of the law that the agency cites in the proposal notice as the
                                                              -1-                       Authorized Print Version – HB 47
****
68th Legislature 2023                                                                                                  HB 47.1
  authority for the proposed action.
          (c)      If the agency proposes to adopt, increase, or decrease a monetary amount that a person shall
  pay or will receive, such as a fee, cost, or benefit, the notice must include an estimate, if known, of:
          (i)      the cumulative amount for all persons of the proposed increase, decrease, or new amount; and
          (ii)     the number of persons affected.
          (2)      (a) The proposal notice must be filed with the secretary of state for publication in the register,
  as provided in 2-4-312. When the agency files the proposal notice with the secretary of state to prepare it for
  publication in the register, the agency shall concurrently send an electronic copy of the proposal notice to the
  appropriate administrative rule review committee. If the secretary of state requires formatting changes to the
  proposal notice before it may be published, the agency is not required to send another copy of the proposal
  notice to the committee. The requirement to concurrently send a copy of the proposal notice to the committee is
  fulfilled if the agency sends an electronic copy to each member of the staff of the appropriate rule review
  committee on the same day that the notice is filed with the secretary of state.
          (b)      (i) Except as provided in subsection (2)(b)(ii), within 3 days of publication, a copy of the
  published proposal notice must be sent to interested persons who have made timely requests to the agency to
  be informed of its rulemaking proceedings, and to the office of any professional, trade, or industrial society or
  organization or member of those entities who has filed a request with the appropriate administrative rule review
  committee when the request has been forwarded to the agency as provided in subsection (2)(c).
          (ii)     In lieu of sending a copy of the published proposal notice to an interested person who has
  requested the notice, the agency may, with the consent of that person, send that person an electronic
  notification that the proposal notice is available on the agency's website and an electronic link to the part of the
  agency's website or a description of the means of locating that part of the agency's website where the notice is
  available.
          (iii)    Each agency shall create and maintain a list of interested persons and the subject or subjects
  in which each person on the list is interested. A person who submits a written comment or attends a hearing in
  regard to proposed agency action under this part must be informed of the list by the agency. An agency
  complies with this subsection (2)(b)(iii) if it includes in the proposal notice an advisement explaining how
  persons may be placed on the list of interested persons and if it complies with subsection (7).
                                                               -2-                        Authorized Print Version – HB 47
****
68th Legislature 2023                                                                                               HB 47.1
          (c)      The appropriate administrative rule review committee shall forward a list of all organizations or
  persons who have submitted a request to be informed of agency actions to the agencies that the committee
  oversees that publish rulemaking notices in the register. The list must be amended by the agency upon request
  of any person requesting to be added to or deleted from the list.
          (d)      The proposal notice required by subsection (1) must be published at least 30 days in advance
  of the agency's proposed action. The agency shall post the proposal notice on a state electronic digital access
  system or other electronic communications system available to the public.
          (e)      (i) When an agency begins to work on the substantive content and the wording of a proposal
  notice for a rule that initially implements legislation, the agency shall contact, as provided in subsection (8), the
  legislator who was the primary sponsor of the legislation to:
          (A)      obtain the legislator's comments;
          (B)      inform the legislator of the known dates by which each step of the rulemaking process must be
  completed; and
          (C)      provide the legislator with information about the time periods during which the legislator may
  comment on the proposed rules, including the opportunity to provide comment to the appropriate administrative
  rule review committee.
          (ii)     If the legislation affected more than one program, the primary sponsor must be contacted
  pursuant to this subsection (2)(e) each time that a rule is being proposed to initially implement the legislation for
  a program.
          (iii)    Within 3 days after a proposal notice covered under subsection (2)(e)(i) has been published as
  required in subsection (2)(a), a copy of the published notice must be sent to the primary sponsor contacted
  under this subsection (2)(e).
          (3)      If a statute provides for a method of publication different from that provided in subsection (2),
  the affected agency shall comply with the statute in addition to the requirements contained in this section.
  However, the notice period may not be less than 30 days or more than 6 months.
          (4)      Prior to the adoption, amendment, or repeal of any rule, the agency shall afford interested
  persons at least 20 days' notice of a hearing and at least 28 days from the day of the original notice to submit
  data, views, or arguments, orally or in writing. If an amended or supplemental notice is filed, additional time may
                                                                -3-                       Authorized Print Version – HB 47
****
68th Legislature 2023                                                                                               HB 47.1
  be allowed for oral or written submissions. In the case of substantive rules, the notice of proposed rulemaking
  must state that opportunity for oral hearing must be granted if requested by either 10% or 25, whichever is less,
  of the persons who will be directly affected by the proposed rule, by a governmental subdivision or agency, by
  the appropriate administrative rule review committee, or by an association having not less than 25 members
  who will be directly affected. If the proposed rulemaking involves matters of significant interest to the public, the
  agency shall schedule an oral hearing.
          (5)      An agency may continue a hearing date for cause. In the discretion of the agency, contested
  case procedures need not be followed in hearings held pursuant to this section. If a hearing is otherwise
  required by statute, nothing in this section alters that requirement.
          (6)      If an agency fails to publish a notice of adoption within the time required by 2-4-305(7) and the
  agency again proposes the same rule for adoption, amendment, or repeal, the proposal must be considered a
  new proposal for purposes of compliance with this chapter.
          (7)      At the commencement of a hearing on the intended action, the person designated by the
  agency to preside at the hearing shall:
          (a)      read aloud the "Notice of Function of Administrative Rule Review Committee" appearing in the
  register; and
          (b)      inform the persons at the hearing of the provisions of subsection (2)(b) and provide them an
  opportunity to place their names on the list.
          (8)      (a) For purposes of contacting primary sponsors under subsection (2)(e), a current or former
  legislator who wishes to receive notice shall keep the current or former legislator's name, address, e-mail
  address, and telephone number on file with the secretary of state. The secretary of state may also use
  legislator contact information provided by the legislative services division for the purposes of the register. The
  secretary of state shall update the contact information whenever the secretary of state receives corrected
  information from the legislator or the legislative services division. An agency proposing rules shall consult the
  register when providing sponsor contact.
          (b)      An agency has complied with the primary bill sponsor contact requirements of this section
  when the agency has attempted to reach the primary bill sponsor at the legislator's address, e-mail address,
  and telephone number on file with the secretary of state pursuant to subsection (8)(a). If the agency is able to
                                                               -4-                       Authorized Print Version – HB 47
****
68th Legislature 2023                                                                                              HB 47.1
  contact the primary sponsor by using less than all of these three methods of contact, the other methods need
  not be used.
          (9)      This section applies to the department of labor and industry adopting a rule relating to a
  commercial drug formulary as provided in 39-71-704. This section does not apply to the automatic updating of
  department of labor and industry rules relating to commercial drug formularies as provided in 39-71-704."
  6
          Section 2. Section 2-6-1102, MCA, is amended to read:
          "2-6-1102.    Department of administration -- powers and duties. (1) To ensure compatibility with the
  information technology systems of state government and to promote adherence to records management
  principles and best practices, the department of administration, in consultation with the secretary of state, shall
  establish standards for technological compatibility for state agencies for records management equipment or
  systems used to electronically capture, store, or retrieve public records through computerized, optical, or other
  electronic methods.
          (2)      The department of administration, in consultation with the secretary of state, shall approve all
  acquisitions of executive branch agency records management equipment or systems used to electronically
  capture, store, or retrieve public records through computerized, optical, or other electronic methods to ensure
  compatibility with the standards developed under subsection (1).
          (3)      The department of administration is responsible for the management and operation of
  equipment, systems, facilities, and processes integral to the department's central computer center and
  statewide telecommunications system information technology resources and the state telecommunications
  network."
 22
          Section 3. Section 2-17-505, MCA, is amended to read:
          "2-17-505.    Policy. (1) It is the policy of the state that information technology be used to improve the
  quality of life of Montana citizens by providing educational opportunities, creating quality jobs and a favorable
  business climate, improving government, and protecting individual privacy and the privacy of the information
  contained within information technology systems resources.
          (2)      It is the policy of the state that the development of information technology resources in the
                                                               -5-                       Authorized Print Version – HB 47
****
68th Legislature 2023                                                                                                  HB 47.1
  state must be conducted in an organized, deliberative, and cost-effective manner.
           (3)      It is the policy of the state that information technology is essential and vital to the people of the
  state of Montana, and the services, systems, and infrastructure are therefore considered to be an asset of the
  state.
           (4)      The following principles must guide the development of state information technology resources:
           (a)      There are statewide information technology policies, standards, procedures, and guidelines
  policies, framework, controls, standards, procedures, and guidelines applicable to all state agencies and other
  entities using the state network an information technology resource.
           (b)      Mitigation of risks is a priority in order to protect individual privacy and the privacy of
  information contained within information technology systems resources as they become more interconnected
  and as the liabilities stemming from the risk to information technology, also known as cyber risk, have
  increased.
           (c)      Whenever feasible and not an undue cyber risk, common data is entered once and shared
  among government entities at any level or political subdivision.
           (d)      Third-party providers of data, such as citizens, businesses, and other government entities, are
  responsible for the accuracy and integrity of the data provided to government entities.
           (e)      Third-party providers of information technology resources, such as infrastructure as a service,
  platform as a service, and software as a service, shall comply with state security and information technology
  policies, risk management framework, controls, standards, procedures, and guidelines when providing
  information technology resources to government entities.
           (e)(f)   Government entities are required to conduct business through open, transparent processes to
  ensure accountability to the citizenry, and information technology provides access to information through simple
  and expeditious procedures.
           (f)(g)   In order to minimize unwarranted duplication, shared or similar information technology systems
  resources and data management applications are must be implemented and managed in a coordinated
  manner.
           (g)(h)   Planning and development of information technology resources are conducted in conjunction
  with budget development and approval.
                                                                 -6-                        Authorized Print Version – HB 47
****
68th Legislature 2023                                                                                                 HB 47.1
           (h)(i)     Information technology systems resources are deployed aggressively whenever it can be
  shown that it will provide improved services to Montana citizens.
           (i)(j)     Public-private partnerships are used to deploy information technology systems resources when
  practical and cost-effective.
           (j)(k)     State information technology systems Information technology resources are developed in
  cooperation with the federal government and local governments with the objective of providing seamless
  access to information and services to the greatest degree possible.
           (k)(l)     State information technology systems Information technology resources are able to
  accommodate electronic digital transmissions between the state and its citizens, businesses, and other
  government entities, including providing financial incentives for citizens and businesses to use electronic digital
  government services.
           (l)(m)